MIRA
INFORM REPORT
|
Report Date : |
24.02.2011 |
IDENTIFICATION DETAILS
|
Name : |
EASTERN COPPER MANUFACTURING COMPANY PRIVATE LIMITED |
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Registered
Office : |
42/ 1, |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
27.03.1996 |
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Com. Reg. No.: |
21-078561 |
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CIN No.: [Company Identification
No.] |
U27109WB1996PTC078561 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
CALE01477A |
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|
Legal Form : |
Private Limited Liability Company |
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Line of Business
: |
Manufacturer of Copper and Aluminium Products. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (44) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 318000 |
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|
Status : |
Satisfactory |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track. Trade
relations are reported as fair. Business is active. Payments are reported to
be usually correct. The company can be considered for small to mediocre business dealings
at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – April 1, 2010
|
Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
|
Registered Office : |
42/ 1, |
|
Tel. No.: |
91-33-22184196/ 22685465/ 33292553/ 64995505 |
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Fax No.: |
91-33-22684197 |
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E-Mail : |
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Website : |
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Area : |
1200 sq ft |
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Location : |
Rented |
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Factory : |
Banira Industrial Estate, Jalan Complex, Jungalpur, |
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Tel. No.: |
91-33-32980254 |
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Fax No.: |
91-33-26692735 |
DIRECTORS
As on 30.09.2010
|
Name : |
Mr. Rajiv Choudhary |
|
Designation : |
Director |
|
Address : |
13, |
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Date of Birth/Age : |
08.09.1965 |
|
Date of Appointment : |
22.01.2001 |
|
DIN No.: |
00715736 |
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|
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Name : |
Mr. Ram Gopal Choudhary |
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Designation : |
Director |
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Address : |
13, |
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Date of Birth/Age : |
05.01.1939 |
|
Date of Appointment : |
07.01.2008 |
|
DIN No.: |
00973567 |
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|
|
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Name : |
Mr. Ravi Choudhary |
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Designation : |
Director |
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Address : |
13, |
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Date of Birth/Age : |
02.10.1963 |
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Date of Appointment : |
27.03.1996 |
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DIN No.: |
00715885 |
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|
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Name : |
Mr. Tanmay Choudhary |
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Designation : |
Director |
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Address : |
13, |
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Date of Birth/Age : |
06.01.1990 |
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Date of Appointment : |
11.08.2008 |
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DIN No.: |
02297500 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2010
|
Names of Shareholders |
|
No. of Shares |
|
|
|
237740 |
|
Ziwani Barter Private Limited, |
|
20000 |
|
Sthirlakshmi Mercantile Private Limited, |
|
20000 |
|
Active Vincom Private Limited, |
|
25000 |
|
Ashis Choudhary |
|
24750 |
|
Ram Gopal Choudhary |
|
261850 |
|
Rajiv Choudhary |
|
201450 |
|
Ratan Kumar Choudhary |
|
12500 |
|
Suruchi Choudhary |
|
206150 |
|
Anuradha Choudhary |
|
141100 |
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Ram Gopal Choudhary (HUF) |
|
275300 |
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|
61000 |
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|
235850 |
|
Rajiv Choudhary (HUF) |
|
99550 |
|
V. Gandhi Finvest Private Limited, |
|
315050 |
|
Konark Vinimay Private Limited, |
|
100000 |
As on 30.09.2010
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
|
|
|
Bodies
corporate |
|
42.13 |
|
Directors
or relatives of directors |
|
37.13 |
|
Other
top fifty shareholders |
|
20.74 |
|
Total |
|
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Copper and Aluminium Products. |
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Products : |
·
Copper ·
Aluminium ·
Busbars, Flats, Strips, Pipes, Rods, Wires ·
Tin - Plated Busbars and Wires ·
Copper Profiles for Commutators ·
Special Profiles ·
Anodes ·
Forged and Cast Copper Contact Clamps, Shoe,
Lugs, Equalizer, Terminal Plates and Pressure Rings ·
Forged and machined Copper components as per
customer's drawings ·
Forged Copper Ring ·
Extruded and drawn Copper Bus Tubes ·
Flexible Jumper Busbar ·
Bunched and Stranded Copper Cable ·
Water Cooled Cables ·
Cotton Covered Paper Covered Varnish bonded
fiberglass covered Nomex covered round and rectangular Copper conductor. |
PRODUCTION STATUS (AS ON 31.03.2010)
|
Particulars |
Unit |
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Actual
Production |
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Copper Loose |
Kgs. |
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|
1098121.160 |
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Copper Packed |
Kgs. |
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|
-- |
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Alluminium |
Kgs. |
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|
5709.770 |
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GENERAL INFORMATION
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No. of Employees : |
80 (Approximately) |
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Bankers : |
·
The Federal Bank Limited, NW – 101, Belilious
Park, East West Bye Pass Road, Howrah – 711101, West Bengal, India ·
Citi Bank ·
Centurion Bank of Punjab Limited ·
Kotak Mahindra Bank Limited ·
Axis Bank Limtied |
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Facilities : |
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Banking
Relations : |
-- |
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Financial Institution : |
L and T Finance Limited |
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Auditors : |
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Name : |
R.A.D.S. and Company Chartered Accountants |
|
Address : |
“Siddha Gibson”, Suite No.214, 2nd Floor, |
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Tel. No.: |
91-33-22318715/ 8971/ 30228156 |
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Facsimile : |
91-33-22318971 |
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Email : |
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|
Website : |
CAPITAL STRUCTURE
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
3500000 |
Equity Shares |
Rs.10/- each |
Rs.35.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
3176420 |
Equity Shares |
Rs.10/- each |
Rs.31.764
millions |
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|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
31.764 |
29.364 |
24.764 |
|
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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|
3] Reserves & Surplus |
47.778 |
23.059 |
18.432 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
79.542 |
52.423 |
43.196 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
92.403 |
56.576 |
46.122 |
|
|
2] Unsecured Loans |
4.057 |
2.946 |
4.098 |
|
|
TOTAL BORROWING |
96.460 |
59.522 |
50.220 |
|
|
DEFERRED TAX LIABILITIES |
0.620 |
0.588 |
0.621 |
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|
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|
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TOTAL |
176.622 |
112.533 |
94.037 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
44.053 |
40.362 |
36.610 |
|
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Capital work-in-progress |
43.102 |
2.612 |
0.000 |
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|
|
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|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
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|
|
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|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
47.456
|
32.883 |
47.291
|
|
|
Sundry Debtors |
71.606
|
46.005 |
44.521
|
|
|
Cash & Bank Balances |
14.143
|
12.132 |
8.647
|
|
|
Other Current Assets |
0.000
|
0.000 |
0.000
|
|
|
Loans & Advances |
17.184
|
15.407 |
14.951
|
|
Total
Current Assets |
150.389
|
106.427 |
115.410 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
33.279
|
23.346 |
51.176 |
|
|
Other Current Liabilities |
26.337
|
12.400 |
4.685
|
|
|
Provisions |
1.306
|
1.124 |
2.154
|
|
Total
Current Liabilities |
60.922
|
36.870 |
58.015 |
|
|
Net Current Assets |
89.467
|
69.557 |
57.395
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.002 |
0.032 |
|
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|
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|
|
|
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TOTAL |
176.622 |
112.533 |
94.037 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Turnover |
416.584 |
377.052 |
367.896 |
|
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PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
18.520 |
13.097 |
11.567 |
|
|
|
|
|
|
|
|
|
Less |
INTEREST |
10.229 |
8.022 |
6.523 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
8.291 |
5.075 |
5.044 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
4.339 |
4.299 |
3.683 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
3.952 |
0.776 |
1.361 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
0.809 |
0.745 |
0.565 |
|
|
|
|
|
|
|
|
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|
PROFIT AFTER TAX
|
3.143 |
0.031 |
0.796 |
|
|
|
|
|
|
|
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|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
2.140 |
2.109 |
1.313 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
5.283 |
2.140 |
2.109 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
20.436 |
20.407 |
21.663 |
|
|
TOTAL EARNINGS |
20.436 |
20.407 |
21.663 |
|
|
|
|
|
|
|
|
|
|
Earnings Per Share
(Rs.) |
1.07 |
0.01 |
0.51 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.03
|
0.53 |
0.90
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.05
|
0.01 |
0.03
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.98
|
1.84 |
2.51
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.47
|
2.89 |
1.99
|
LOCAL AGENCY FURTHER INFORMATION
FORM 8:
|
Corporate
identity number of the company |
U27109WB1996PTC078561 |
|
Name of the
company |
EASTERN COPPER MANUFACTURING COMPANY PRIVATE LIMITED |
|
Address of the registered
office or of the principal place of
business in |
42/ 1, E-Mail: hooks@vsnl.com |
|
This form is for |
Modification of charge
|
|
Charge
identification number of the modified |
80032690 |
|
Type of charge |
Immovable property Book Debts Movable Property Floating Charge Others (All other Current and Moveable Fixed Assets.) |
|
Particular of
charge holder |
The Federal Bank Limited, NW – 101, Belilious Park, East West Bye Pass
Road, Howrah – 711 101, West Bengal, India E-Mail: hwh@federalbank.com |
|
Nature of description
of the instrument creating or modifying the charge |
Agreement of Cash
Credit/Overdraft. Agreement for
Term Loan. Agreement for
Hypothecation of Plant and Machinery as Additional Security. Letter confirming
deposit of Title Deeds (3 Sets). |
|
Date of
instrument Creating the charge |
16/07/2010 |
|
Amount secured by
the charge |
Rs.253.400
millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest: Cash Credit: BR+4.25
(12.00% p.a.) with monthly rests. Term Loan:
BR+5.50 (13.25% p.a.) with monthly rests. Terms of
Repayment: Working Capital
Limit is repayable on demand. The Term Loan of
Rs.3.400 millions is repayable in 50 equal monthly installments of Rs.0.068 million
commencing from 14.08.2010. Margin: As stipulated by
the Bank for the respective assets from time to time. Stocks : 25%, Book Debts : 40%
and Term Loan: 25%. Extent and
Operation of the charge: The charge
operates as first charge basis on the whole of the hypothecated current
assets and moveable fixed assets of the Company, both present and future and
mortgaged properties as mentioned in Column No.15 to secure the maximum
amount under the said charge fixed at Rs.253.400 millions together with interest,
costs and charges thereon. Others: The Borrower
shall not do or allow anything which may prejudice the security and shall
comply with the terms and conditions of the Agreements. All other terms and
conditions continue to remain as before in full force and effect. |
|
Short particulars
of the property charged |
Hypothecation of
entire stock of raw materials, stock in process, finished products and
receivables. Hypothecation
Hydraulic Draw Bench Machinery to be acquired at an estimated cost of
Rs.4.600 millions. Charge on plant
and machinery and other fixed assets. Liquid Security
by way of cash certificates/FSF in the name of the Company (present value). Land admeasuring
30 dcl, 78 dcl and 96.5 dcl comprised in various Dag Nos. and situated in
Mouza Baniara Jalan Complex, Domjur, Land admeasuring
total area of 123 satak = 74.48 kathas comprised in various Dag Nos. situated
in Mouza Baniara, Industrial Estate, Domjur, Howrah, together with all
buildings constructed or to be constructed under Sale Deed Nos.I-04287,
I-04289, I-03138, I-03033, I-03133, I-00215 and I-00214. Land admeasuring
total area of 33 satak situated in Mouza Baniara, J.L.No.26, PS, Domjur of
Howrah Dist. together with all building existing and or to be constructed
under Sale Deed No.1592/96. (more
particularly described in the Letter confirming deposit of Title Deeds) |
|
Date of latest
modification prior to the present modification |
02/06/2010 |
|
Particulars of
the present modification |
By this
modification, the overall limit is enhanced from Rs.200.000 millions to
Rs.253.400 millions as stated under and charge on hypothecated current
assets, moveable fixed assets and above mentioned mortgaged properties
extended to secure the enhanced overall limit together with interest, costs
and charges thereon. CC : Rs.125.000
millions IPS : Rs.3.400
millions BG/LC : Rs.40.000
millions BDLC : Rs.50.000
millions FDBP/FUBP :
Rs.5.000 millions IPS : Rs.30.000
millions Overall Limit:
Rs.253.400 millions. |
FIXED ASSETS:
·
·
Factory Shed
·
Plant and Machinery
·
Bobbins
·
Tools and Dies
·
·
Electrical Fittings
·
Generator
·
Motor Car
·
Motor Cycle
·
Furniture
·
Office Equipment
·
Computers
·
Mobile Phone
·
Air Conditioner
·
Motor Pump
·
Refrigerator
·
Transformer
·
Water Pump
·
Tubewell
·
Television
WEBSITE DETAILS:
PROFILE:
Subject, a name that is synonymous with
Upgradation and quality control play a key role in the subject
strategy. They want to continue to set ourselves apart from their competitors
through their products and services and further increasing their competitive
advantage. Market responsiveness and close coordination with their customer
base on a regular basis enables them to identify market needs at an early stage
and to guide their upgradation process on a targeted basis.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources including
but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist organization
or whom notice had been received that all financial transactions involving
their assets have been blocked or convicted, found guilty or against whom a
judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction registered
against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.45.20 |
|
|
1 |
Rs.73.17 |
|
Euro |
1 |
Rs.61.88 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
44 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.